DCM Shriram Limited has announced a USD 90 million investment from the International Finance Corporation (IFC) through the issuance of Sustainability-Linked Non-Convertible Debentures. This move underscores the company’s commitment to sustainable growth.
The transaction aligns with the International Capital Market Associations’ Sustainability-linked Bond Principles and Loan Market Association’s Sustainability-linked Loan Principles. It is anchored in DCM Shriram’s new Sustainability-Linked Loan Framework, independently reviewed by CareEdge ESG, enhancing transparency and demonstrating the robustness of the company’s sustainability roadmap.
The proceeds from this issuance will be used to bolster DCM Shriram’s strategic initiatives and support long-term growth plans. IFC’s investment aims to expand the company’s downstream chemicals business, foster local value creation, and support rural job creation through capital expenditures in its agri businesses, which engage extensively with farmers.
Amit Agarwal, Group CFO & Executive Director of DCM Shriram, highlighted the transaction as a significant milestone for the company, marking a defining moment in its journey towards responsible growth and sustainable value creation. Imad N. Fakhoury, IFC Regional Division Director for South Asia, expressed IFC’s pleasure in supporting DCM’s growth, aligning with India’s Make in India and Atmanirbhar Bharat initiatives.
Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).